A legal foundation has been put in place to systematically support the development of small modular reactors (SMRs).

The Ministry of Science and ICT said a special bill on promoting and supporting SMR development passed a National Assembly plenary session on Wednesday afternoon.

With power demand from AI and data centres rising sharply, SMRs are drawing attention as a carbon-free energy source to meet carbon-neutrality goals. An SMR is a small nuclear reactor with a smaller output than large nuclear power plants, with facilities manufactured as modules at factories and assembled on site.

Earlier, there were calls that South Korea had no separate law to support SMRs because its nuclear legal framework is centred on large nuclear power plants. The bill that passed parliament is a consolidated act made through bipartisan agreement and is expected to become a key foundation for South Korea to take the lead in the global SMR market.

To build an ecosystem covering the full cycle of SMR development, construction and operation, the special act requires the government to establish an "SMR development master plan" every 5 years. It also sets up an "SMR Development Promotion Committee" under the Nuclear Energy Promotion Commission to deliberate and decide key matters related to SMR development. It provides for designation of research and development special zones to create regional hubs for SMR R&D and demonstrations. The act also includes provisions to train specialists and pursue international cooperation.

The SMR special act will take effect 6 months after promulgation following deliberation by the Cabinet and presidential approval. The ministry plans to prepare subordinate regulations before the law takes effect and to establish the "first SMR development master plan" within 1 year after implementation. Bae Kyung-hoon (배경훈), deputy prime minister and minister of science and ICT, said the act reflects the will of parliament and the government to speed SMR development as a core energy source in the AI era and to leap into becoming a leading country in global SMRs. He said the ministry will move quickly to accelerate outcomes, including by preparing strategies to systematically push ahead with SMR development and demonstrations and by strengthening fiscal support for SMR R&D.